CALGARY, April 27, 2015 /CNW/ - Ivrnet Inc. (TSXV: IVI) ("Ivrnet" or the "Corporation") announces the non-brokered private placement of up to 10,000,000 units of the Corporation (the "Units") for total aggregate proceeds of up to $500,000 (the "Offering"). Each unit will be composed of one common share of the Corporation and one full share purchase warrant. Each Warrant entitles the holder to purchase one additional Common Share (i) at a price of $0.07, if the Warrant is exercised in the first year following its issuance, (ii) at a price of $0.09, if the Warrant is exercised in the second year following its issuance, or (iii) at a price of $0.12, if the Warrant is exercised in the third year following its issuance. Shares, warrants and any shares issued upon exercise of the warrants are subject to a 4 month hold period from the date of closing or date of exercise of the warrants.
The anticipated date of closing is on or before May 30, 2015. Insider Placees are expected to compose greater than 25% of the Offering. No finder's fees, broker's fees or commissions are anticipated to be paid in connection with the Offering.
Proceeds of the Offering will be utilized to expand the Corporation's product development and sales plans as well as general working capital.
David L. Snell, Ivrnet's Chief Executive Officer comments, "We are extremely excited about entering into our third round of financing in order to facilitate attainment of our Company's long term business goals.
Fiscal 2014 was and Q1/Q2 2015 continue to be pivotal periods for our company. Positive business results have been realized through adherence to and execution of our business reorganization and restructuring plan. Of note are the following.
- Human resource full time equivalents in internal cost center positions were further reduced.
- Client and strategic partner product and service focus forums were and continue to be held by our Product and Sales groups. These forums are instrumental in ensuring that our products and services continue to meet and/or exceed the specific and high demands of our end users and are also critical in predicting future market trends.
- Further refinement of processes in the Development and Project Management areas of our business were implemented.
- A targeted Sales and Product plan along with congruent resource matching has been finalized and positioned for implementation."
Expanding on David Snell's comments above, Chris Topolniski, Ivrnet's Chief Operating Officer adds, "The focus forums Mr. Snell references have assisted us immeasurably in determining where our Product, Development and Sales efforts need to be focused at this critical juncture. Specifically, continued Development of our redesigned core software platform, Ivrnet Central; our market leading online and telephony based credit card payment processing products, SafePay/TelePay; and also, our market proven SMS based communication product suites, including AdCentral and SafeTeam.
It's also important to note that the continued Development efforts, in all product areas denoted above, have already led to decreased operational and support costs for Ivrnet. This, in turn, will lead to increased profit margins per product line as efficiencies and scalabilities are consistently being improved with each passing development and implementation cycle.
Additionally, these efforts have and continue to be conducted in concert with the continued support and maintenance of key legacy-based products and services, so as to facilitate sustainable client retention levels and the corresponding monthly recurring revenue streams associated with same.
The refinements and process enhancements in our Development and Project Management areas, to which Mr. Snell refers, have already enabled us to meet and/or exceed target delivery dates on key milestones relating to our newest products and project deliverables. This, in turn, has enabled us to move to the next stage of our rebuild/restructuring strategy and focus on an aggressive Sales and Marketing campaign for these targeted product lines. Being able to focus on the introduction and sale of these new and improved product lines into the market has enabled us to make the directional change to a truly productized, ROI-based sales organization. We are now positioned to penetrate metrics where our products will generate the highest rate of return for our company and its shareholders. To that end, Ivrnet has recently added two Sales Specialists and two Senior Product/Business Development Specialists, so as to facilitate our enhanced sales centric business vision and drive new-sales based monthly recurring revenues.
By continuing to "give people back their time" through the design, build and implementation of our proprietary business automation software products, Ivrnet will continue to both reduce operational costs and drive revenue for our valued clients and strategic business partners."
Ivrnet is a software and communications company that develops, hosts, sells and supports value added business automation software. Our products and services are delivered through the traditional phone network and the Internet. These applications facilitate automated interaction through personalized communication between people; mass communication for disseminating information to thousands of people concurrently and personalized communication between people and automated systems. Ivrnet's applications are accessible through nearly any form of communication technology, at any time, from anywhere in North America via voice, phone, fax, email, texting and the Internet.
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information is often, but not always, identified by the use of words such as "anticipate", "believe", "plan", "intend", "objective", "continuous", "ongoing", "estimate", "expect", "may", "will", "project", "should" or similar words suggesting future outcomes. In particular, this press release contains forward-looking information relating to the closing of the Private Placement. This forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the closing of the Private Placement not to occur or the closing date to be materially different from that expressed or implied herein, including but not limited to: risks related to capital markets, general economic conditions, legislative and regulatory developments, and the regulatory approval process for the Private Placement, as well as those factors discussed in Ivrnet's documents filed on SEDAR (www.sedar.com).
Although Ivrnet has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated. Accordingly, readers should not place undue reliance on forward-looking statements. Ivrnet does not undertake to update any forward-looking statements that are contained herein, except in accordance with applicable securities laws. Further information on Ivrnet is available at www.sedar.com.
Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE IVRnet Inc.
For further information: Chris L. Topolniski - Chief Operating Officer, Ivrnet Inc., Direct: (403) 538-9722, Cellular: (403) 870-2434, E-mail: [email protected]